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Thursday 26 July 2012

UK Financial News on 2012-07-26

Loss blamed on Zuckerberg payment
Facebook reports a $157m (100m) loss due to payments to shareholders such as founder and chief executive Mark Zuckerberg......

Errors at Nationwide and NatWest
Payments have been taken twice from hundreds of thousands of Nationwide accounts, while technical problems have hit NatWest's online banking......

ECB chief's comments spark rally
European Central Bank chief Mario Draghi says the bank is ready to do "whatever it takes" to back the euro, prompting a rally in shares and the currency......

Profits at British Gas owner rise
Centrica, the owner of British Gas, reports a 15% rise in first-half profits to 1.45bn, including a 23% rise in profits at British Gas......

Lloyds increases PPI provision
Lloyds Banking Group reports a half-year loss of 439m and says it has increased provision for payment protection insurance claims by 700m......

Cameron defends economic policies
The prime minister says the government has acted "decisively" on the economy, as he addresses an Olympics event targeting investment in the UK......

BBA 'warned weekly' about Libor
The British Bankers' Association was given weekly warnings during 2008 that the process of setting the Libor interest rates was being corrupted......

New customers boost BSkyB profits
BSkyB profits rise 17% as its football coverage helps boost customer numbers, while ITV predicts a slowdown in advertising spending over the summer......

Honda to scale back production
Japanese car manufacturer Honda scales back production at its Swindon plant due to falling sales in Europe......

Nomura chief quits over scandal
The chief executive of Japan's Nomura Holdings resigns following a damaging insider-trading scandal at the investment bank......

Engine demand lifts Rolls-Royce
Rolls-Royce reports a rise in half-year profits thanks to strong demand from planemakers for fuel-efficient engines......

BAA loses latest Stansted appeal
Airport operator BAA loses its latest appeal against the Competition Commission's ruling that it must sell Stansted Airport......

Nissan profits hit by strong yen
Japanese carmaker Nissan reports a 15% drop in net profit in the first quarter after the strong yen hit its results......

Shell profits hit by weak prices
Royal Dutch Shell reports a 13% drop in second quarter profits, hit by weaker oil and North American gas prices......

Spain's woes hit Santander again
Profits at the Spanish banking giant Santander halve as it makes further write-downs against property loans......

Alcatel Lucent slashes 5,000 jobs
Telecom equipment maker Alcatel Lucent plans to slash 5,000 jobs in order to save costs as it reported a net loss in the second quarter......

EU's Barroso urges Greek action
European Commission President Jose Manuel Barroso tells the Greek government to "deliver, deliver, deliver" key structural reforms......

Japanese cars are 'most reliable'
Japanese carmakers Honda, Toyota and Lexus are the most reliable used car brands in the UK, a survey finds......

Lady Gaga sued by Bratz doll firm
Lady Gaga and her management company are being sued by the makers of Bratz toys, over "deliberate" delays to a doll in the pop star's image......

House sales up at half-year stage
Completed property sales in the first half of the year were 11% up on the same period last year, figures from HM Revenue & Customs show......

Payday lenders agree new rules
Payday lenders have agreed a new code aiming to protect customers from "hidden charges", but a consumer group says little has changed......

Complaints about energy firms dip
Complaints about major energy companies fell by 7% in the first three months of the year, a consumer watchdog says......

South Korea economic growth slows
South Korea's economic growth slowed between April and June, coming in at 0.4%, down from 0.9% in the first quarter, official figures show......

Recession in UK economy deepens
The UK recession has deepened, latest official figures show, after the output of the economy fell by a bigger-than-expected 0.7% between April and June......

Japan in record half year deficit
Japan posts a record half-yearly trade deficit as exports weaken and increased demand for fuel results in jump in imports......

Record sales boost Volkswagen
German car giant Volkswagen reports record vehicle sales for the first half of the year, helped by its geographical spread......

Mexico fines HSBC over laundering
The Mexican subsidiary of HSBC bank is fined $27.5m for infringing regulations aimed at preventing money-laundering......

Farmville firm results disappoint
Shares in Zynga, the social gaming company behind Farmville, fall as much as 40% in after-hours trading following disappointing results......

Federer tops Olympians rich list
Tennis players and basketball stars dominate the list of the top-earning Olympians, according to a new report......

ALBA extend Challenge Cup TV deal
BBC ALBA and the Scottish Football League agree a three-year extension for Ramsdens Challenge Cup coverage......

Chevrolet to sponsor Liverpool FC
US carmaker Chevrolet signs a four-year deal with Liverpool to become the football club's automotive sponsor......

AUDIO: How secure is Chip and Pin?
UK-based researchers have shown how malicious software could compromise cards......

VIDEO: Fresh meat: More farmers needed
Over 60,000 new farmers are needed over the next decade, but not enough young people are considering farming as a career......

AUDIO: Vince Cable: This is 'Plan A Plus'
The latest GDP figures released yesterday were more grim than most people were expecting. Economics editor Stephanie Flanders gives her analysis, and Business Secretary Vince Cable explains what the coalition is planning to do to get growth back on t.....

VIDEO: PM: UK to gain 13bn from Olympics
David Cameron has told BBC Breakfast that although the UK is spending around 9bn on the Olympic Games, it will also be gaining around 13bn......

VIDEO: How Facebook can make more money
David Eastman, chief executive of advertising firm JWT North America, explains how Facebook can increase its revenue from advertising......

VIDEO: Mixed earning results for UK firms
Some of the UK's biggest firms announced half and full year profits on Thursday......

AUDIO: OECD leader: Osborne should 'stay the course'
Today some of the world's leading business figures will be in London for a big investment conference ahead of the Olympic games. The leader of the OECD, Angel Gurria, who will be attending the conference, shares his views on the state of the UK econo.....

VIDEO: Cable backs Osborne as chancellor
The Senior Liberal Democrat peer, Lord Oakeshot, has called for George Osborne to be replaced as Chancellor with the Liberal Democrat Business secretary Vince Cable......

Facebook: The challenges ahead for the social network
The challenges ahead for the social network.....

Finding the farmers of the future
The challenge to recruit younger people in the farming sector.....

The lengths people go to avoid tax
The lengths people go to, to avoid tax.....

Eurozone crisis: Spain in numbers
The problems facing the Spanish economy.....

Why are we obsessed by growth?
Why are we obsessed by growth?.....

U.S. Day Ahead: Facebook stock drops after earnings
July 26 - Facebook shares turn negative after the company reports second-quarter 2012 results......

The Exchange: The Trouble with TARP
Antony Currie talks to Neil Barofsky, the former TARP Inspector General about his new book, Bailout, to decipher what two years of dealing with both U.S. banks and the DC crowd tells us about the future of finance......

Brazil team looks for Olympic boost
July 26 - As London prepares for the official opening of the Olympic Games, the next host city Rio de Janeiro is looking to use sport to woo investment amid slowing growth in Brazil. Matt Cowan reports......

Saft Says: Corporate earnings indicate slowing economy
Columnist James Saft says companies are burnishing profit margins, but reveal weakening revenues, a sure sign that folks are spending less and the economy is tipping down......

Shell results marred by oil volatility
July 26 - Shell results kick off a bleak quarter for oil majors as weaker oil and gas prices take their toll. Hayley Platt reports......

Trading at Noon: Zynga tanks; investors await Facebook
July 26 - Zynga shares continue their downward spiral while traders watch for Facebook's first earnings report.....

Romney in London: Gaffes, glitz and greenbacks
July 26 - U.S. Republican Presidential candidate Mitt Romney will hope his glamorous London fundraisers are more successful than his attempts at diplomacy after he offends British Prime Minister David Cameron......

Breakingviews: Boutiques make bank
July 26 - Jeffrey Goldfarb and Antony Currie discuss how independent M&A advisory shops have been trouncing their bigger Wall Street rivals of late......

Greek bailout update
July 26 - Live coverage of the joint press briefing held by Jos Manuel Barroso, President of the EC, and Antonis Samaras, Greek Prime Minister following their meeting in Athens......

Europe Day Ahead: Draghi boost to markets may fizzle
July 26 - European risk assets go on a tear after ECB president Mario Draghi says the euro will be saved, but an Italian bill auction tomorrow will test whether the boost to sentiment is any more than a blip......

3XSQ: Draghi powers U.S., Europe higher
July 26 - ECB President Mario Draghi pledges to do whatever is necessary to protect the euro zone from collapse......

Bond investor confidence takes turn for the worse in Q2
The IACPMs Som-Lok Leung says the latest survey of credit portfolio managers finds that troubles in Europe and a slow U.S. recovery are affecting outlooks across the globe, including Asia & Australia.....

Global Investment Conference: WPP: euro zone to survive
July 26 - US budget deadlock is the major worry for 2013 but the euro zone will probably muddle through says WPP CEO Martin Sorrell at the Global Investment Conference in London......

Sports Spread: 'Bottoms Up' for Team GB
July 26 - Team GB excel at 'sitting-down' events. Sporting Index predict over half its London 2012 medal haul will come from just five sports (equestrian, rowing, cycling, sailing, canoeing)......

Lloyds in Libor spotlight
July 26 - Britain's Lloyds Banking Group has received subpoenas from government agencies investigating the global interest rate rigging scandal. Hayley Platt reports.....

David Cameron vows to do more to boost UK economy
July 26 - Prime Minister David Cameron pledges to do more for the economy after GDP data released this week showed the economy had contracted more than expected in the second quarter of 2012. Rough Cut (no reporter narration)......

Market Pulse: Draghi the game-changer? Maybe not - Citi
July 26 - ECB President Mario Draghi drops the heaviest hint yet that the bank could unleash a wave of sovereign bond buying. But Citi's Michael Saunders, who sees a 90% chance of a 'Grexit', is not so sure......

Breakingviews: Telefonica 2013 dividend not safe
July 26 - Telefonica has scrapped its 2012 dividend but pledged to reinstate it in 2013, this looks overly optimistic say Breakingviews......

Shell CEO: Maintenance costs hit profits
July 26 - Shell CEO Peter Voser says forecast-missing Q2 profits are explained by lower oil and gas prices as well as higher maintenance costs......

Reuters Today: Citi puts "Grexit" chance at 90% in 18 months
July 26 - EU's Barroso meets with Greek PM Samaras while international lenders mull whether Athens has done enough to secure the next bailout payments. And Citi sees 90% chance of Greece leaving the euro......

BASF CEO Bock: Asia lull is big surprise
July 26 - Chief Executive Kurt Bock predicts a flat performance for BASF in the second half on softening in Asia and continued weakness in Europe......

Value lurks in Samsung's shadow
July 26 - South Korea's export-led economy is suffering as China's slowdown bites, but many of the country's corporates are trading at prices that don't reflect their true potential......

LIGHTNING ROUND: Analysts have "no idea" on Facebook results
StockTwits' Phil Pearlman says the wide dispersion in estimates for Facebook's first earnings report means no one knows what to expect and that investors will learn a lot from the release......

Global Investment Conference: ARM unfazed by Apple blip
about the outlook for technology, rumours of an iPad 'mini' and a possible boost from the Olympic Games at the Global Investment Conference in London......

Global Investment Conference: OECD's Gurria eyes ECB bazooka
July 26 - OECD Secretary General Angel Gurria says the ECB is the only institution with the firepower to respond to the euro zone crisis......

Facebook's first financial results: live
Facebook shares have fallen 8pc ahead of its maiden financial results as a listed company, as founder Mark Zuckerberg is tasked with placating investors who are concerned at the sliding share price.<img width='1' height='1' src='http://telegraph.f.....

Sceptics abound as Mario Draghi's ECB bond 'bluff' electrifies global markets
The European Central Bank has opened the door to emergency support for the Spanish and Italian bond markets, setting off a blistering rally on bourses across the world.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/56830.....

Centrica defends 23pc leap in British Gas energy profits
Centrica defended a 23pc surge in profits at its British Gas household division, insisting the jump was due to the comparison with a "weak" 2011.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/21c01a1a/mf.gif' bo.....

Britain's blue-chips make an Olympian effort to demonstrate economic growth
A dozen FTSE-100 companies show there is life in corporate Britain despite this week's GDP figures.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/21bfcd97/mf.gif' border='0'/><br/><br/><a href=.....

Laird surges as FTSE 100 gains on ECB's Draghi
Technology stocks are obviously in vogue. Laird, which boasts Apple as a customer, was the toast of the mid-cappers after revealing a 7pc increase in underlying first-half pre-tax profits.<img width='1' height='1' src='http://telegraph.feedsportal.....

Shell eyes Russian opportunities as profits hit by energy prices
Royal Dutch Shell said it was eyeing opportunities to expand in a new "more open" Russia, as it unveiled a 25pc slump in profits, hit by lower energy prices.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/21bfd53.....

Debt crisis: as it happened - July 26, 2012
Markets surge and Spanish borrowing costs fall back below 7pc as the head of the ECB says the euro's critics should not underestimate the political will of leaders to save the single currency.<img width='1' height='1' src='http://telegraph.feedspo.....

BSkyB defies gloom with record profits and 500m buy-back
BSkyB has defied the economic gloom with record profits and a 500m share buy-back.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/21bf2b36/mf.gif' border='0'/><br/><br/><a href="http://da.feedsp.....

Reed Elsevier delivers record first half
Reed vows to speed up sell-off after best-ever first-half performance.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/21bf2b37/mf.gif' border='0'/><br/><br/><a href="http://da.feedsportal.com/r/.....

National Express profits hit by subsidy cuts for over-60s
Profits at National Express hit the buffers in the first half of the year as the over-60s shunned coach travel.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/21bf2b38/mf.gif' border='0'/><br/><br/>.....

Debt crisis: live
Markets surge and Spanish borrowing costs fall back below 7pc as the head of the ECB says the euro's critics should not underestimate the political will of leaders to save the single currency.<img width='1' height='1' src='http://telegraph.feedspo.....

Louis Vuitton maker LVMH sees sharp rise in profits
French luxury goods giant LVMH saw sharp rises in profits and sales in the first half of 2012, despite difficult economic conditions in some of its major markets.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/21.....

First Nationwide, now NatWest suffers second systems glitch
NatWest has become the second financial institution to report technical problems with its systems today after up to 2m Nationwide transactions were duplicated.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/21be9.....

Where are graduates working part-time?
The number of graduates working part-time has risen to more than a fifth over the past year amid a backdrop of declining full-time private sector jobs.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/21be584b/mf.g.....

US financiers to meet in London for Mitt Romney fundraiser
A group of senior US financiers will tonight host a $25,000-a-plate fundraising dinner in London for US Republican presidential candidate Mitt Romney.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/21bddd68/mf.gi.....

Nationwide: 'This is not a NatWest situation'
Nationwide said the technical glitch affecting current account card customers was an "isolated" incident.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/21bddd69/mf.gif' border='0'/>.....

Britain unleashed: the real crisis is welfarism, not capitalism
The British public has not yet awoken to the last government's profligacy, writes Mark Field.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/21bd6cef/mf.gif' border='0'/><br/><br/><a href="http:.....

BAA told it must sell Stansted airport
A Court in London has upheld a decision that airports operator BAA must sell Stansted<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/21bcf8fe/mf.gif' border='0'/><br/><br/><a href="http://da.fee.....

Nationwide transactions hit by 'technical glitch'
Customers of Nationwide, the country's biggest building society, have seen as many as 2m transactions affected by an apparent technical problem with the mutual's payment systems.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/327.....

'Two million' Nationwide transactions hit by 'technical glitch'
Customers of Nationwide, the country's biggest building society, have seen as many as 2m transactions affected by an apparent technical problem with the mutual's payment systems.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/327.....

Debt crisis: Mario Draghi pledges to do 'whatever it takes' to save euro
Mario Draghi, President of the European Central Bank, has pledged to do "whatever it takes" to protect the eurozone from collapse - including fighting unreasonably high government borrowing costs.<img width='1' height='1' src='http://telegraph.fee.....

London 2012: BBC Olympics coverage to hurt ITV
Advertising revenues at ITV may dip in the summer, the broadcaster said, as many viewers will be watching the Olympics on the rival BBC.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/21bb20be/mf.gif' border='0'/.....

Graduate jobs: Fifth of graduates work part-time as full-time jobs decline
The number of graduates working part-time has risen to more than a fifth over the past year amid a backdrop of declining full-time private sector jobs, official figures show.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f.....

Fifth of graduates work part-time as full-time jobs decline
The number of graduates working part-time has risen to more than a fifth over the past year amid a backdrop of declining full-time private sector jobs, official figures show.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f.....

Centrica profit rise: analyst and industry reaction
British Gas owner Centrica increased profits at its residential arm by 23pc in the first half of the year, which is expected to fan flames of anger over recent price increases. Here is a round-up of analyst and industry reaction.<img width='1' hei.....